MX Settlements in the Making

by Kai Aiyetoro

October, 2003

Now that Congress and the public have expressed extreme disappointment in the Federal Communications Commission’s attempt to adopt new media ownership rules, FCC Chairman Michael Powell has begun to show more support for the LPFM movement. Is this his attempt to make sure that local voices will continue to be part of the media landscape? LPFM has now become a priority in addressing the issue of localism. With 1900 applications still awaiting approval, Powell has waived certain processing rules to permit mutually exclusive (MX) applicants to apply for different frequencies, resolve conflicts, and get on the air.

On August 28, 2003, the FCC announced a settlement period for applications filed in windows I, II and III. A recently released list of MX applicants contains instructions for filing settlement agreements, minor amendments, or channel change amendments to break conflicts between LPFM applications. These settlements or amendments must be filed by October 31, 2003. The FCC LPFM Channel Finder has been reactivated so applicants may search for a possible move.

When applications were first being submitted, many LPFM applicants requested the first available frequency they found on the channel finder, resulting in MX situations across the country. These MX applicants now have the opportunity to collaboratively determine which frequencies are still available and decide how to divide the frequencies among themselves. Applicants may also decide upon a timesharing arrangement if there is no other frequency available to them. Then they must write a universal settlement and submit these solutions to the FCC for approval. There are sample agreements available on the NFCB website in the LPFM Project section at www.nfcb.org. The FCC will determine the fate of the applications if the groups are not able to reach agreements on their own.

REC Networks has developed a settlement plan for applicants from windows I, II and III, with recommendations for settling mutually exclusive applications. There are 96 MX groups in the FCC public notice. An analysis of each MX situation with solutions for each group is available on the RECNET website at www.recnet.com.

In the meantime, other applications are being dismissed from the pool of applicants. Informal objections are being filed in order to eliminate bogus applications, which have caused endless havoc. The MX list for combined windows IV and V should be released after the FCC sifts through this first group of MX applicants, and afterward the point system will come into play.

EAS Equipment Must Be in Place Soon!

October 24, 2003 is the deadline for having a decoder Emergency Alert System (EAS) in place at LPFM stations that are now broadcasting. The October 2002 waiver is nonrenewable and LPFM stations are now required to adhere to the EAS requirements. LPFM stations are only required to install an EAS decoder system. The only FCC approved decoder system on the market today is produced by TFT, Inc. costing a minimum of $2,000. Applicants have been hoping for a competitive system to be introduced and approved by the FCC. NFCB has developed a group buy for LPFM stations to purchase the TFT 911D system through Broadcast Richardson for $1,793. For more information about this group buy, you may contact me at kai@nfcb.org.

In addition to the EAS decoder unit, the Emergency Alert System 2001 AM & FM Handbook must be posted in all operating areas at all times. This handbook can be downloaded from the FCC website: http://www.fcc.gov/eb/eas/. You must also maintain an EAS log indicating when weekly and monthly EAS messages have been received and transmitted. This log must be on file for a minimum of two years, and must be reviewed and signed by the designated Chief Operator.

All stations are required to participate in EAS. They must install and maintain EAS equipment and participate in weekly and monthly tests. But they may also petition to be non-participating national stations by obtaining an authorization letter from the FCC. This means they will not be required to provide necessary information during a national level emergency activation notification alert only, and must go off the air during such time. As a participating national station, you will be required to immediately broadcast all national-level alerts that are received.

All stations are required to monitor EAS codes and emergency messages, and retransmit them within 15 minutes of receiving them.

Kai Aiyetoro
Director of Low Power FM
(510) 451-8200 ext.303
kai@nfcb.org